Insurance Periods and Voyage Modifications for Institute War Clauses (Cargo)

Insurance Period and Voyage Deviations under the Institute War Clauses (Cargo)

The insurance period and voyage deviations under the Institute War Clauses (Cargo) refer to the provisions within these war risk clauses that define when war risks coverage begins and ends, and under what conditions coverage continues or is reinstated if unexpected unloading, transshipment, termination of the contract of carriage, change of destination, or deviation from the planned route occurs.

Under the standard ICC2009 main clauses, the insurance period is generally considered to start when the cargo is first moved from the warehouse or storage location to commence transit, and to end when unloading from the conveyance is completed at the final warehouse or storage place.

In contrast, under the Institute War Clauses (Cargo), war risks coverage typically begins once all or part of the insured cargo is loaded onto an ocean-going vessel, and terminates when the cargo is unloaded from the ocean-going vessel or after 15 days have passed from 12:00 PM on the day of arrival, among other specific conditions.

Therefore, even if the general ICC clauses consider the insurance period to still be in effect, war risks coverage may already have expired under these war clauses.

Furthermore, different notification requirements, time limits, and additional premium conditions need to be confirmed for cases such as unloading at intermediate or refuge ports, transshipment by air, early termination of the contract of carriage, reloading, mine risks, change of destination, or deviation ordered at the discretion of the carrier.

Scope Covered in This Article

Item	Contents Covered in This Article	Contents Covered in Other Articles in Detail
Article 5 Transit Clause	Insurance commencement, termination, reinstatement under war risks; intermediate and refuge ports; termination of the contract of carriage; mine-related risks	Establishment requirements and exclusions of the insured risks themselves
Article 6 Change of Voyage	Change of destination by the insured, unauthorized departure for an alternative destination, notification, agreement on rates and terms	Destination changes and insurance period under the standard ICC
Article 7 Priority Clause	Priority between Article 3.7, Article 3.8, Article 5 and other contract terms in case of conflicts	Requirements of exclusion clauses, final contract interpretation of special clauses
Ocean-going Vessels	Clause definitions and perspectives for distinguishing between mother vessel, feeder vessel, barge, river vessel, etc.	Detailed vessel classifications under the Ship Act and Commercial Code, vessel classification societies
15-Day Rule	Calculation start and end points for the final discharge port, intermediate ports, refuge ports, re-arrival, and alternative ports	Final interpretation of periods modified by individual endorsements
Intermediate and Refuge Ports	Discharge for transshipment purposes, cargo location, 15-day limit, reinstatement of coverage by reloading	Port storage contracts, warehouse liability, terminal liability
Termination of the Contract of Carriage	Treatment of the cut-off port as final discharge port, reinstatement of coverage for subsequent onward shipment	Rights to terminate carriage under the B/L, Contracting Carrier liability, final responsibility for additional charges
Transshipment and Onward Shipment	Distinction between planned transshipment at intermediate ports and onward shipment after termination of the contract of carriage	Individual carriage arrangements, freight, transfer costs, carrier liability
Transshipment by Aircraft	Application of Institute War Clauses (Air Cargo) under Article 5.2(2)	Detailed insurance period and exclusions under war risks air cargo clauses
Mine Risks	Extension during barge transport to/from ocean-going vessels and a 60-day limit after discharge	Coverage scope for abandoned weapons other than mines and discarded torpedoes
Deviation and Change of Voyage	Deviation by carrier’s discretionary rights, destination changes, notification, additional premium	Carrier discretionary rights and contract liability under B/L back clauses
NVOCC and Freight Forwarders	Chronological documentation, insurer notifications, B/L validation, segregation of additional charges	NVOCC liability, freight forwarder liability, limits of liability, statute of limitations

Purpose and Background of the System

War risks fluctuate significantly in danger level depending on the route, call ports, military situation, port closures, and the operating status of the vessel, unlike normal cargo accidents.

Therefore, the Institute War Clauses (Cargo) set a limited insurance period focusing mainly on war risks during marine navigation by ocean-going vessels, rather than broadly covering the entire land-leg transport between warehouses.

Because of this structure, during stages such as when the cargo is moving from the export warehouse to the port, waiting for loading onto the vessel at the CY, after discharge at the final port, or stored for a long time at an intermediate port, the coverage period under the standard ICC and the War Clauses may not coincide.

Moreover, once war risks materialize, originally planned transport may not proceed as scheduled, resulting in occurrences such as discharge at a different port, calling at a refuge port, interim unloading, switching to air transport, termination of the contract of carriage, onward shipment, or change of destination.

For these reasons, Article 5 stipulates not only simple start and end points of coverage, but also conditions for termination, continuation, and resumption of insurance in response to such unexpected transport changes.

Three Clauses Comprising This Article

Clause	Main Content	Key Judgment Point	Main Reference Materials	Practical Points of Attention
Article 5 Transit Clause	Loading, unloading, 15 days, intermediate port, refuge port, termination, transshipment, mines, deviation	Whether war risks coverage had started, continued, or resumed at the time of the incident	Loading records, Port Log, Discharge Report, EIR, reloading records	Calculated separately from the standard ICC insurance period
Article 6 Change of Voyage	Change of destination and sailing to an unknown alternative destination for the insured	Who made the change, when it was recognized, and when the insurer was notified	Change instructions, shipping line notices, B/L, communications with the insurer	Notify the insurer early, even before finalizing the change
Article 7 Priority Clause	Effectiveness of contractual clauses conflicting with Article 3.7, Article 3.8, and Article 5	Whether other conditions effectively extend the War Clauses’ exclusions or insurance period	Policy, Schedule, Endorsements, list of applicable clauses	Not a general clause overriding all clauses

Situations Where Institute War Clauses(Cargo) Become an Issue

Situation	Reason for Confirmation	Main Point of Dispute	Key References	Additional Matters to Check
War risks incident occurred before loading onto the vessel	War Clauses coverage may not have yet started	Time of loading onto the ocean-going vessel	Loading List, Stowage Plan, terminal records	Standard coverage under the ICC body
Cargo remains unloaded even after arrival at final port	Insurance could terminate 15 days after arrival before unloading	Arrival date, calculation from noon, unloading time	Port Log, AIS, Arrival Report	Reinstatement if vessel departs without unloading
Waiting for transshipment at an interim port	Issues with 15-day continuation and possible coverage gap thereafter	Cargo location, passage of 15 days, reloading	EIR, warehouse records, transshipment bookings	Usual cargo risks during storage
Emergency unloading at a refuge port	Same period structure issues as for intermediate ports	Arrival at refuge port, unloading, cargo movement	Captain’s report, Port Log, Discharge Report	Average adjuster matters, salvage charges, additional costs
Switching to air transport for onward shipment	Applicable clauses switch to war clauses for air cargo	Loading time onto aircraft, AWB, applicable clauses	AWB, Cargo Manifest, airline receipt records	Separate conditions for mail and independent air shipments
Contract of Carriage Terminated at an Intermediate Port	That port is considered the final discharge port	Existence of termination, unloading, notice before onward shipment	Termination notice, B/L, insurer’s response	Contracting Carrier liability
Onward Shipment to a Destination Other Than the Planned One	Prior notice and additional premium required to resume coverage	Notice before start of onward shipment, reloading time	Onward Shipment Instructions, Booking, loading records	Tariff and conditions at new destination
Mine risk occurred during lighter transport	Special extension under Article 5.4 is at issue	Direction of lighter transport, type of weapon, days after unloading	Lighter navigation records, unloading records, accident reports	Distinction from normal 15-day rule
Insured changes the destination	Notification and premium agreement under Article 6.1 are required	Time of decision, notification timing, damage occurrence	Change instructions, insurer communications, B/L Amendment	Whether coverage was available on the market
Vessel sails to a different destination without the insured’s knowledge	Special provisions under Article 6.2 apply	Insured’s awareness timing, originally planned transport	Shipping Line notices, vessel movements, internal receipt records	Prompt notification to insurer after awareness

Application Requirements and Exclusions List

Verification Item	Positive Requirement	Insufficient Fact Alone	Outside the Scope of This Article	Practical Measures
Insurance Commencement	The insured cargo or its portion was actually loaded onto an ocean-going vessel	Cargo was delivered to the CY, placed alongside the vessel, or scheduled on the Loading List only	Final determination of accidents where loading time is unclear	Cross-check Stowage Plan, loading records, and terminal records
Ocean-Going Vessel	The vessel itself carries cargo between ports/places and its voyage includes sea navigation	Only the designation as a large vessel, foreign-flagged vessel, or feeder vessel	Final classification of vessel type under Ship Law	Verify route, vessel, B/L, and actual navigation segment
Termination at Final Port	Confirm actual discharge time or expiry of 15 days after noon of the arrival date	Only the date the vessel berthed	Final interpretation in cases with disputed arrival time	Record anchoring, mooring, laying-up times, and discharge times
Departure Without Discharge	The vessel departed with prompt notification and payment of additional premium	Vessel moved with cargo still on board only	Final insurance claim judgement in case of delayed notification	Retain notifications before and after departure and insurer responses
Continuation at Intermediate Port	For transshipment purpose or discharge at a refuge port, cargo is physically present at such port/place	Only the fact that cargo was stored in some warehouse	Final determination of the scope of port/place	Retain EIR, gate records, and warehouse Location Report
Resumption After 15 Days	Cargo is actually loaded onto an ocean-going vessel or an aircraft for onward shipment	Only that booking was made, cargo delivered, or handed over to airline	Final judgement when loading time is unclear	Obtain Loading Confirmation and Cargo Manifest
Onward Shipment by Aircraft	Onward shipment by aircraft qualifies under Article 5(2) from intermediate or refuge port	Only that air transport was used after sea transport	Determination of independent air transport contracts or postal items coverage	Verify AWB, continuity with sea transport, and applicable Clause
Termination of the Contract of Carriage	The voyage terminates at a place other than the agreed destination under the contract of carriage	Only that the vessel temporarily called at or took refuge at another port	Legality of termination right exercised under B/L	Obtain official termination notice from shipping line or NVOCC
Onward Shipment After Termination	Notify insurer before onward shipment starts and confirm necessary additional premium	Only that cargo is ultimately intended to be sent to the original destination	Final compensation determination in case of notification breach	Keep notification date/time, reload date/time, and insurer’s approval
60-Day Limit for Mine Risks	During craft transport to/from ocean-going vessel under risk of floating/sunken mines or discarded torpedoes	Only that the accident was caused by war weapons including discarded bombs	Coverage exceeding 60 days by special agreement	Confirm weapon type, discharge date, and craft operation segment
Change of Destination	Notify insurer without delay after change and agree on rates and conditions	Only the fact that change instructions were sent to shipping line	Final assessment of market insurability	Save chronological record from decision to notification
Application of Article 7	Substantive conflict of other contract terms with Articles 3(7), 3(8), or 5	Only that terms or duration differ from standard ICC	Final priority of specific endorsements	Check if special conditions explicitly amend Articles 5 and 7

Comparison with Standard ICC

Check Item	Standard ICC 2009	Institute War Clauses (Cargo)	Main Evidence	Practical Notes
Insurance Commencement	The first movement for commencement of transport	When the cargo or part of it is loaded onto an ocean-going vessel	Gate-out record, Loading list, Stowage plan	Coverage periods may not align during domestic transport or CY storage
Basic Insurance Termination	Completion of unloading at the final warehouse, etc.	The earlier of unloading from the ocean-going vessel or 15 days after arrival	Discharge report, Port log	Do not set final warehouse arrival as the termination under War Clauses
Usual Transport Process	Generally judged from warehouse to warehouse	Judged mainly by the ocean-going vessel’s sea passage	Transport plan, B/L, Cargo movement records	Calculate periods separately for each clause even for the same cargo
After Arrival at Final Port	Check 60-day rule and others	Confirm the 15-day rule	Arrival and unloading records	Do not compare periods solely by their numeric values
Intermediate and Refuge Ports	Confirm whether within usual transport process	Check 15 days after arrival and resumption after reloading	EIR, warehouse and transshipment records	Coverage gaps may occur between 15 days after arrival and reloading
Switching to Aircraft	Check standard ICC (Air) and others	Current Air Cargo War Clauses apply under Article 5, Paragraph 2, Item 2	AWB, Manifest, applicable clauses	Considered part of the insurance contract under standard clauses
Termination of the Contract of Carriage	Check usual continuation and termination conditions	Consider the termination port as the final unloading port	Termination notice, B/L	Prior notice is required before onward shipment
Change of Destination	Notification, agreement on rate and terms	In addition to similar notification, confirm War Clauses’ specific periods	Change instructions, insurer communications	Check both standard ICC and War Clauses in parallel

Definition of Ocean-Going Vessels and Boundary Cases

In Article 5, ocean-going vessels refer to vessels that transport cargo from one port or place to another, where the voyage involves navigation on the high seas.

Therefore, the classification is not determined solely by the vessel’s size, nationality, ship type name, or labels such as “feeder vessel,” “coastal vessel,” or “barge.”

Transport Means / Scenario	Factors Indicating Ocean-Going Vessel	Factors Indicating Not Ocean-Going Vessel	Main Reference Materials	Practical Handling
International Container Mother Ship	Voyages between ports including actual high seas navigation	Generally none	Master B/L, Voyage Schedule, Stowage Plan	Confirm loading and unloading times
International or Coastal Feeder Vessel	The vessel itself performs high seas navigation between ports	Only transfers within the port, no high seas navigation	Route, Booking, B/L, Vessel movement records	Do not exclude based solely on the “feeder” designation
Large Barges / Self-Propelled Barges	Voyage between ports or places includes vessel’s own high seas navigation	Limited to short-distance craft transport between mother ship and quay	Operating range, vessel specifications, transport documents	Confirm distinction from craft under Article 5.4 with the insurer
River Vessels / Canal Vessels	Voyage includes substantial high seas navigation sections	Navigation solely within rivers or canals	Route maps, operation records, contracts of carriage	Judge based on actual route rather than vessel name
Port Barges / Lighters	Usually treated as craft transport to/from ocean-going vessels	No independent ocean-going voyages between ports	EIR, barge operation records, cargo handling records	Separately confirm dangers of mines and abandoned torpedoes under Article 5.4
Trucks / Railways	Not applicable	Not high seas navigation by vessel	CMR, rail waybills, gate-in/out records	Confirm the standard Insurance Period Clause under the ICC

In boundary cases, it is necessary to verify not only the vessel name and equipment but also from which port or place the cargo is transported and to where, and whether high seas navigation by the vessel itself is included in that segment.

Insurance Commencement

Under the Institute War Clauses (Cargo), war risks coverage for the insured cargo or any part thereof begins at the time that part is loaded onto an ocean-going vessel.

Rather than considering the entire cargo collectively, when shipments are loaded in multiple parts, the loading time of each part should be checked.

During domestic transport from the export warehouse to the port, after CY in-gate, before loading onto the vessel, or while waiting alongside the quay, coverage under the War Clauses may not have commenced, even though the standard ICC insurance period has started.

In practice, confirmation involves not only checking the Loading List but also verifying documents that prove actual loading onto the vessel, such as the Stowage Plan, Terminal Loading Report, or confirmation from the shipping line regarding the loading status.

Insurance Termination at Final Discharge Port and the 15-Day Rule

At the final discharge port or place of discharge, coverage for war risks generally ends upon the earlier occurrence of either of the following:

Candidate for Termination	Occurrence/Start Point	Required Documents	Points to Note
Discharge from Ocean-Going Vessel	When the cargo or any part of it is actually discharged	Discharge Report, EIR (Equipment Interchange Receipt), Terminal Record	Timing may vary for different portions of the cargo
15 Days After Arrival	After 15 days counted from 12:00 noon on the day the vessel arrived	Port Log, AIS data, Arrival Report	Coverage may end after 15 days even if discharge has not occurred

The Clause's English text specifies “midnight of the day of arrival.”

Arrival here means the time when the vessel is anchored, moored, or otherwise fixed at a berth or location within the port authority’s jurisdiction. If no available berth exists, the arrival time is confirmed as when the vessel is first anchored, moored, or otherwise fixed at the scheduled discharge port, place of discharge, or its offshore anchorage.

Starting the count simply from the day the vessel berthed at a quay could overlook waiting at anchorage or the anchoring period offshore.

If the Vessel Departs Without Unloading Cargo

There are cases where the vessel arrives at the final discharge port or place but departs again without unloading the cargo.

In such cases, coverage will resume when the vessel departs from that port or place, provided that the insurer is notified without delay and an additional premium is paid as a condition.

After coverage resumes, it will end at whichever occurs first: when the cargo is actually discharged at the final port or an alternative port; or 15 days after 12:00 noon on the day the vessel arrives again at the final port or at the alternative port.

Checkpoint	Confirmation Items	Main Documents	Actions If Problems Occur
Initial Arrival	Arrival date and time, and whether unloading occurred	Port Log, Shipping Line Notice	Start 15-day count
Before Re-departure	Notification to insurer and additional premium	Notification email, insurer’s response	Confirm coverage resumption conditions in writing
Re-departure	Actual departure time	AIS, Departure Report	Record coverage resumption time
Re-arrival or Arrival at Alternative Port	Arrival date and time, unloading date and time	Arrival Report, Discharge Report	Confirm whichever is earlier: new 15-day period or discharge

Discharge at Intermediate or Refuge Ports

When cargo is discharged at an intermediate port during the voyage for transshipment by another ocean vessel or aircraft, or when discharged at a refuge port or refuge location, coverage continues for 15 days under specified conditions.

This 15-day period starts from 12:00 noon on the day the vessel arrives at the intermediate or refuge port.

However, after discharge, coverage continues only while the cargo or its part remains within that port or location.

If the cargo is moved to a warehouse in another area or leaves the scope of that port or location, coverage continuation within the 15 days should be confirmed.

Evidence to Secure at Intermediate or Refuge Ports

Verification Item	Specific Documents	What Can Be Proven	Notes
Vessel Arrival	Port Log, AIS, Statement of Facts	Arrival date from which the 15 days are counted	Confirm not only the berthing date but also anchoring and mooring
Discharge	Discharge Report, EIR, Tally Sheet	Date and time of discharge per cargo item	Check differences by container unit or cargo part
Cargo Location	Terminal Location Report, Gate Record, Warehouse Inventory Records	That the cargo was within the port/location during the 15 days	Do not overlook movement to warehouses outside the port
Purpose of Transshipment	Booking, Routing Instruction, Transshipment Plan	That it is temporary discharge and not termination of the contract of carriage	Also verify presence or absence of official termination notice
Reloading	Loading Confirmation, Cargo Manifest, Stowage Plan	Point at which coverage restarts after 15 days	Gate-in or delivery alone does not necessarily mean reloading
Transshipment to Aircraft	AWB, Airline Receipt Records, Flight Manifest	Loading onto aircraft and transshipment sector	Distinguish between delivery to the airline and aircraft loading

Difference Between Unloading at an Intermediate Port and Termination of the Contract of Carriage

Comparison Item	Unloading at Intermediate or Refuge Port	Termination of the Contract of Carriage	Reference Materials	Practical Response
Purpose of Carriage	Temporary unloading for transshipment by another vessel or aircraft, or for refuge	The contractual voyage ends at the relevant port or place	Routing, Carrier Notices, House B/L	Confirm whether it is a temporary change or official termination
Port Classification	Intermediate or refuge port	Considered the final port of discharge	Contract of Carriage, Termination Notice	Switch calculation of the insurance period accordingly
15-Day Period	Continues for 15 days from 12:00 noon on the date of arrival	Period at the final port under Article 5.1.2	Port Log, Discharge Report	Distinguish the basis for applying the same 15-day period
Subsequent Transport	Transshipment	Onward shipment to the original or a different destination	Booking, Onward Shipment Instructions	Confirm insurer notification before onward shipment
Resumption of Coverage	At loading onto transshipment vessel or aircraft	If already unloaded, at loading onto the onward vessel; if not unloaded, at original vessel departure	Loading Record, Departure Report	Use actual times rather than scheduled times

Transshipment by Aircraft

Article 5.2.2 stipulates that when transshipment from an intermediate or refuge port is made by aircraft, the current Institute War Clauses (Air Cargo) (excluding mail) are deemed to form part of the insurance contract and apply to transshipment by air transport.

Therefore, in the standard scenarios under Article 5.2, this is not treated merely as an optional provision that “may be attached separately.”

On the other hand, in cases such as the following, it is necessary to verify the individual insurance contract rather than rely solely on the standard Article 5.2.2.

Scenario	Standard Clause Interpretation	Additional Points to Confirm	Main References
Transshipment by aircraft from an intermediate port	Current Air Cargo War Clauses form part of the insurance contract	Version applicable at time of loading onto aircraft	AWB, Flight Manifest, Policy
Loading onto aircraft within 15 days	Air Cargo War Clauses apply from the transshipment timing	Location of cargo and period before loading onto aircraft	Warehouse Record, Loading Confirmation
Loading onto aircraft after 15 days have passed	Coverage reinstates upon loading onto aircraft	Coverage gap between 15 days after arrival and loading onto aircraft	Port Log, AWB, Loading Records
Air transport independent from sea transport	May not fall under transshipment of Article 5.2	Separate Air Cargo War Clauses policy or endorsement	Separate Contract, Separate Certificate
Mail	Note exclusion of mail in Air Cargo Clause	War clauses applicable to mail shipments	Postal Conditions, Applicable Clauses
Different conditions stipulated in the Policy	Prioritize confirmation of individual contract wording	Whether Article 5.2.2 has been modified or deleted	Schedule, Endorsement

If the Contract of Carriage Is Terminated Midway

If the voyage under the contract of carriage is terminated at a port or place other than the agreed destination, that port or place is considered the final discharge port.

The war risks cover ends for the deemed final discharge port according to the earlier of discharge under Article 5.1.2 or 15 days.

If the cargo is subsequently reloaded for transportation to the original destination or another destination, cover will resume on condition that the insurer is notified before the onward shipment begins and any additional premium is paid.

Cargo Status	Cover Resumption Point	Conditions Required	Main Evidence
Discharged at the termination port	When the cargo or its portion is loaded onto the onward vessel	Notification before onward shipment and payment of any additional premium	Loading Confirmation, Stowage Plan
Not discharged at the termination port	When the vessel departs from the deemed final discharge port	Notification before onward shipment and payment of any additional premium	Departure Report, AIS

A vessel’s temporary refuge, route change, or change of transshipment port alone does not immediately constitute termination of the contract of carriage.

To determine termination, confirmation is made of formal notice from the shipping line or NVOCC, completion of carriage shown on the B/L, cargo pickup requests, or notices that subsequent transport will be arranged by the shipper.

60-Day Limit for Risks from Mines and Abandoned Torpedoes

Coverage for the risks posed by floating or submerged mines and abandoned torpedoes is extended while the cargo is loaded on craft during transportation to or from an ocean-going vessel.

However, unless otherwise specially agreed by the insurer, coverage does not extend beyond 60 days after discharge from the ocean-going vessel.

Period Provision	Applicable Risks	Main Transport Phase	Start Point / Limit	Matters Not to Be Confused
15-Day Rule of War Clauses	General insurance termination under War Clauses	Final port, intermediate port, refuge port	15 days from noon on arrival day	Standard 60-day Clause of ICC
60-Day Limit for Risks from Mines and Abandoned Torpedoes	Floating/submerged mines, abandoned torpedoes	Transport on craft to/from ocean-going vessel	Within 60 days after discharge from ocean-going vessel	Uniform extension for all abandoned weapons risks
Standard 60-Day Clause of ICC Main Body	Ordinary cargo risks	After discharge at final unloading port	According to insurance period provision of standard ICC	Article 5.4 of War Clauses

The subject of Article 5.4 is, according to the wording, floating or submerged mines and abandoned torpedoes. The same 60-day limit does not necessarily apply automatically to abandoned bombs or other war weapons.

Article 5.5: Deviation and Change of Voyage Adventure

When a change of route or adventure in carriage occurs due to the exercise of discretionary authority granted to the carrier under the contract of carriage, coverage under this Clause continues provided that the insurer is notified without delay and any applicable additional premium is paid as required.

It is important to note that the mere existence of a discretionary clause on the B/L does not guarantee unconditional continuation of insurance coverage.

Upon notification by the shipping line of an alternative port, different route, transshipment port change, or emergency discharge, the shipper, NVOCC, or freight forwarder should contact the insurer to confirm the new war risk areas, insurance period, and any additional premium required.

Article 6 Change of Voyage

When the Insured Changes the Destination

If the insured changes the destination after the insurance coverage has commenced, they must notify the insurer without delay and negotiate the applicable rate and conditions.

If a loss occurs before such agreement is reached, coverage may be provided only if it was possible to obtain coverage in the market on reasonable terms and rates.

Therefore, it is not acceptable to treat this as a matter of simply reporting to the insurer after the change.

When the Vessel Departs for a Different Destination Unknown to the Insured

Even if, after the cargo's intended transport has commenced, the vessel sails toward a different destination without the knowledge of the insured or their agent, the insurance coverage is considered to have commenced at the start of the originally planned transport.

However, this does not exempt the insured from notifying the insurer once they become aware of the change. Upon learning of the change, the insured should promptly contact the insurer to confirm the coverage period, route, rate, and conditions going forward.

Type of Change	Party and Awareness	Basic Handling under the Clauses	Practical Response
Insured changes destination	Insured decides and is aware of the change	Prompt notification and agreement on rate and conditions	Notify insurer before or simultaneously with issuing change instructions
Vessel departs for a different destination without insured’s knowledge	Insured or their agent initially unaware	Coverage deemed to commence at initial start of transport	Immediately confirm conditions with insurer upon awareness
Deviation at carrier’s discretion	Carrier or shipping line changes destination based on B/L terms	Continued coverage conditional on notification and additional premium under Article 5.5	Simultaneously confirm B/L terms and insurance conditions
Onward shipment to a different destination after termination of the contract of carriage	New transport arranged after the contract of carriage is terminated	Confirm coverage restart conditions under Article 5.3	Notify insurer before the onward shipment begins

Article 7 Priority Clause

Article 7 specifies that when any other provision included in the insurance contract conflicts with Article 3.7, Article 3.8, or Article 5, the conflicting part shall be invalid to the extent of the conflict.

Article 7 is not a general priority clause stating that all provisions of the War Clauses always take precedence over any special conditions or insurance terms.

Subject of Conflict	War Clauses Provision	Typical Example of Conflict	Practical Handling
Loss or interruption of voyage or shipping operations	Article 3.7	Claims that general cost coverage wording implies coverage of voyage interruption expenses	Confirm consistency with the exemption in Article 3.7
Hostile use of nuclear weapons, etc.	Article 3.8	Claims that comprehensive War Risks coverage wording also includes nuclear weapon risks	Prioritize and confirm Article 3.8
General insurance period between warehouses	Article 5	Claims that since the main ICC coverage continues normally, War Clauses coverage period also continues identically	Calculate loading, unloading, and 15-day extensions in the War Clauses separately
General wording for extension of period	Article 5	Claims that a simple “continued until transport completion” wording automatically extends the War Clauses period as well	Check whether a special clause explicitly modifies Article 5
Individual Endorsement	Article 5 and Article 7	Special clauses explicitly modifying or extending the War Clauses period	Confirm with the insurer the targeted clauses, priority order, period, and any additional premium

When an individual Endorsement explicitly amends Article 5 or Article 7, a case-by-case judgment based on its wording is necessary.

It should not be assumed that the War Clauses period is automatically extended solely because the main ICC coverage period is extended or because the policy includes a comprehensive transport period.

Insurance Period and Voyage Change Decision Flow

Step	Items to Confirm	Decision Branch	Practical Response
1	Identify the applicable Policy or Certificate	Which insurance contract and Clause version apply	Match Policy number, Certificate, and cargo
2	Confirm attachment of Institute War Clauses (Cargo)	Whether War Clauses are attached	Obtain Schedule, Endorsements, and list of Clauses
3	Check if the means of transport is an ocean-going vessel	Whether the vessel’s voyage includes sea navigation	Verify route, B/L, and vessel movement
4	Confirm cargo or cargo part loading time	Whether coverage under War Clauses has started	Secure Stowage Plan and loading records
5	Confirm cargo location at the time of the incident	On-board vessel, craft, intermediate port, refuge port, warehouse, or aircraft	Create cargo movement report
6	Confirm arrival at final port, intermediate port, or refuge port	Which Article 5 provision applies	Cross-check Port Log, AIS, and carrier notifications
7	Compare cargo unloading time with 15 days elapsed	Which event occurred first	Calculate insurance expiry for each cargo part
8	Confirm if the vessel re-sailed without unloading cargo	Whether it is a resumption under Article 5.1.3	Verify notification, additional premium, and departure time
9	Confirm cargo location at intermediate or refuge port	Whether the 15-day location condition is met	Preserve EIR, gate records, and warehouse records
10	Check the means of transshipment	Ocean-going vessel or aircraft	Confirm applicable War Clauses and reloading time
11	Confirm whether the contract of carriage was terminated	Temporary transshipment or termination of the contract of carriage	Obtain formal termination notice
12	Confirm insurer notification before onward shipment	Whether resumption conditions under Article 5.3 are met	Compare notification time and onward shipment start time
13	Check for mine or abandoned torpedo risk	Whether craft extension under Article 5.4 applies	Confirm weapons type and days elapsed since unloading
14	Confirm parties responsible for route or destination changes	Whether insured’s change, innocent change, or carrier discretion	Notify according to Article 5.5 or Article 6
15	Check for conflicts with Article 7	Whether other periods or coverage wording conflict with Article 3.7, 3.8, or 5	Cross-verify Policy and Endorsements

Common Practical Issues

Case	Main Issues	Documents to Check	Initial Action
War risks incident occurred while stored in CY	Whether before loading onto an ocean-going vessel	Terminal Record, Loading List, Stowage Plan	Set different commencement points for ICC and War Clauses
Unloaded on the 20th day after final port arrival	Termination after 15 days elapsed	Port Log, Discharge Report	Calculate period from noon of the arrival day
Vessel sailed to an alternative port without unloading	Coverage reinstatement, notification, additional premium	Carrier notice, AIS, insurer response	Notify insurer before and after sailing
Transshipment wait of 18 days at an intermediate port	Coverage gap between 15 days and reloading	EIR, warehouse records, transshipment booking	Consult extension before 15 days expire
Transferred from intermediate port to aircraft	Switching to Air Cargo War Clauses	AWB, Manifest, aircraft loading record	Confirm Clause 5.2.2 and applicable version
Moved cargo from refuge port to warehouse outside port	Requirement of “while at the relevant port or place”	Gate Record, warehouse address, transport records	Verify with insurer before movement
Contract of Carriage Terminated at an Intermediate Port	Deemed final discharge port and insurance termination	Termination notice, B/L, cargo location	Recalculate unloading date and 15-day period
After termination, cargo shipped onward to a different destination	Notification before onward shipment start and coverage reinstatement	Notification records, onward shipment booking, Loading Record	Confirm insurer's conditions before loading
Damage caused by floating mines during barge transport	Article 5.4, craft transport, 60-day limit	Barge record, unloading date, accident report	Secure weapon type and transport direction information
Insured changed destination but incident occurred before agreement	Market coverage possibilities, timing of notification	Change instructions, notification records, market rate info	Organize timeline from decision time
Vessel departed for a different destination without consent	Article 6.2, insured party’s knowledge	Carrier notice, internal receipt records, AIS	Notify insurer immediately upon recognition
Within normal ICC period but over 15 days under War Clauses	Priority between Article 7 and Article 5	Both Clauses, arrival and unloading records	Judge insurance period separately by risk type

Scope of Freight Forwarder's Involvement

Operational Scenario	Support Provided by Freight Forwarder	Matters Not to be Determined by Freight Forwarder	Main Confirmation Parties	Practical Measures
Confirmation of Applicable Clauses	Collection of Policy, Certificate, Schedule, Endorsements	Final determination of insurance payout eligibility	Shipper, Insurer, Insurance Agent	Organize ICC and War Clauses separately
Verification of Ocean-going Vessel	Organizing documents on vessel, route, inter-port transport, maritime navigation	Final applicability of clause to borderline vessels	Shipping Line, NVOCC, Insurer	Indicate actual sailing sections instead of vessel name
Loading and Unloading Confirmation	Collecting Stowage Plan, Loading and Discharge records	Final certification of insurance start and end periods	Shipping Line, Terminal, Insurer	Organize timing for each cargo segment
15-Day Rule	Chronological ordering of arrival, anchorage, mooring, and unloading times	Final judgment on disputed arrival timing	Shipping Line, Port authorities, Insurer	Cross-check Port Log with AIS data
Intermediate and Refuge Ports	Organizing cargo location, EIR, Gate receipts, warehouse, and transshipment plans	Judgment that coverage applies unconditionally if within 15 days	Shipping Line, Warehouse, Terminal, Insurer	Confirm with insurer before any port departure
Transshipment by Air	Coordination of AWB, flight info, loading, applicable clauses	Judgment that coverage automatically applies to independent air transport	Airline, Insurer, Shipper	Confirm if this is transshipment under Article 5.2
Termination of the Contract of Carriage	Organizing termination notice, cargo location, onward shipment plans	Judgment that coverage automatically continues under old terms	Shipping Line, NVOCC, Insurer, Shipper	Manage notices before onward shipment
Change of Voyage or Destination	Organizing responsible party, decision time, reasons for change, routes	Judgment that same rates and terms apply after change	Shipper, Shipping Line, NVOCC, Insurer	Consult insurer before finalizing change
Additional Charges	Detailing storage fees, transshipment costs, onward shipment expenses, additional freight	Judgment that insurer or NVOCC will automatically cover costs	Shipper, Shipping Line, NVOCC, Insurer	Differentiate insurance, B/L, tariff, and quotation terms
Rights Preservation	Supporting Claim Letters, notification deadlines, evidence collection	Legal liability of shipping line and NVOCC	Shipping Line, NVOCC, Experts	Notify insurer and pursue third-party claims in parallel

Practical Scenario 1: When Unloading Took 20 Days After Arrival at Final Discharge Port

Suppose an ocean-going vessel arrives at the final discharge port, but due to port congestion, military tension, or port conditions, the cargo is unloaded only on the 20th day after arrival.

The coverage under the War Clauses ends at whichever occurs first: the actual time of unloading or 15 days after noon on the day of arrival.

Therefore, even if the unloading takes place on the 20th day, war risks coverage may have already ended at the 15-day mark.

Even if coverage under the main ICC Clause’s 60-day provision continues, the War Clauses coverage does not necessarily continue for the same period.

Practical Scenario 2: Transshipment to Another Ocean-Going Vessel 18 Days After Arrival at an Intermediate Port

Assume that cargo was discharged from the original vessel at an intermediate port for transshipment onto another ocean-going vessel; however, due to a shortage of vessel space, reloading occurred on the 18th day after arrival.

At the intermediate port, coverage in principle continues only while the cargo remains at that port or location during the 15-day period starting at noon on the day of arrival.

After 15 days have passed, coverage resumes only upon actual loading of the cargo onto the transshipment ocean-going vessel.

Therefore, there could be a gap in coverage under the War Clauses from the end of the 15-day period until the reloading on the 18th day.

If a delay in transshipment is anticipated, it is advised to consult the insurer regarding extension of the insurance period or special terms.

Practical Scenario 3: Transshipment by Air from an Intermediate Port

Assume that due to war risks or port closure, cargo is discharged at an intermediate port and then transferred onto an aircraft for onward transport to the destination.

If the requirements of Article 5.2.2 are met, the current Institute War Clauses (Air Cargo) are considered part of the insurance contract and apply to the air transshipment.

It is necessary to confirm the continuity with the maritime transport, the arrival date at the intermediate port, the cargo location, the actual loading time onto the aircraft, the AWB, the Flight Manifest, and the applicable policy clauses.

If the cargo is loaded onto the aircraft after 15 days have passed, there may be a coverage gap from the 15-day mark until loading onto the aircraft.

Practical Scenario 4: Onward Shipment to a Different Destination after Termination of the Contract of Carriage

Assume that the contract of carriage is terminated at a port other than the originally intended destination, with that port deemed the final discharge port, and the cargo is subsequently shipped onward to a different destination.

First, confirm the termination of coverage under the War Clauses, which occurs either upon discharge at the termination port or 15 days after arrival.

To resume coverage for the subsequent onward shipment, the insurer must be notified before the commencement of the onward shipment, and the applicable additional premium should be confirmed.

If the cargo has already been discharged, coverage resumes when the cargo is loaded onto the onward vessel; if not discharged, coverage resumes when the original vessel departs from the termination port.

Summarize the termination notice, onward shipment booking, loading record, and notification date to the insurer as a single chronological sequence.

Practical Scenario 5: The Vessel Sails for an Alternate Destination Unknown to the Insured

Suppose that after the cargo has commenced its originally planned transportation, the vessel sails toward a different destination unknown to the insured or their employees.

According to Article 6.2, the insurance is deemed to have commenced at the start of the originally planned transportation.

However, this does not mean that the insured may ignore or fail to notify the insurer after becoming aware of the vessel’s departure to an alternate destination.

The shipping line’s notification, vessel movement information, and the date and time the change was first recognized internally should be documented. Subsequently, the insured should promptly confirm with the insurer regarding the revised route, insurance period, premium rate, and conditions.

Common Misunderstandings

Common Misunderstanding	Actual Understanding	Practical Notes
War Clauses cover cargo from warehouse to warehouse	In principle, coverage begins at loading onto an ocean-going vessel	Domestic transport and CY storage are checked separately from ICC
The date the vessel docks at the port is always the arrival date	Arrival can be when the vessel anchors, moors, or otherwise secures position	Check waiting time offshore using Port Log and AIS
The 15-day rule means coverage for 15 days after discharge	Coverage ends at either discharge or 15 days after arrival, whichever comes first	Coverage may end immediately upon discharge
At transshipment ports, coverage continues for 15 days regardless of location	After discharge, coverage continues only while cargo is at the specified port/location	Confirm with insurer before moving cargo into off-port warehouses
Coverage resumes once the booking is confirmed	In principle, coverage resumes only at actual loading onto the onward vessel or aircraft	Distinguish clearly among in-gate, delivery, booking, and loading
A separate endorsement is always required for air transshipment	Article 5.2.2 regards the current Air Cargo War Clauses as part of the insurance contract	Separate confirmation is needed for independent air transport or specific amendments
Unloading at a transshipment port always terminates the contract of carriage	Temporary unloading for transshipment is different from formal termination of the contract of carriage	Verify formal termination notice and subsequent transport liability
Onward shipment after termination of the contract of carriage is automatically covered	Notification before onward shipment and payment of any additional premium are required	Late notification after loading can cause issues
The 60-day rule for mine risks applies to all war weapons	Article 5.4 covers only floating/sunken mines and abandoned torpedoes	Confirm the specific type of weapon involved
Large barges are always considered ocean-going vessels	Determined by whether the vessel itself makes sea passages, not by vessel type	Distinguish between harbor craft and sea transport between ports
If the B/L includes a free discretion clause, insurer notification is unnecessary	Article 5.5 requires prompt notification and any necessary additional premium	Contact insurer when the shipping line notification is received
Change of destination can be notified after confirmation	Change by the insured requires prompt notification and agreed conditions	Consult the insurer from the change consideration stage
Article 7 always takes precedence over all War Clauses	Only conflicts with Articles 3.7, 3.8, and 5 are targeted	Check wording of any specific endorsement amendments
If usual ICC coverage is valid, War Clauses coverage is also valid for the same period	Coverage periods under the two clauses are calculated separately	Do not confuse the 15-day rule with the ICC 60-day provision

Checklist for Confirmation

Situation for Confirmation	Party to Confirm With	Items to Confirm	Actions if Issues Arise
Identification of Applicable Insurance Contract	Policyholder, Insurer, Insurance Agent	Policy, Certificate, Clause Version, Endorsement	Obtain the full set of applicable documents
Verification of Ocean-Going Vessel	Shipping Line, NVOCC, Insurer	Route, Port-to-Port Transport, Maritime Navigation, Vessel	For borderline cases, provide operational documents for inquiry
Insurance Commencement	Shipping Line, Terminal, Insurer	Actual Date and Time of Vessel Loading	Obtain Stowage Plan and Loading Record
Arrival at Final Port	Shipping Line, Port, Insurer	Anchoring, Mooring, Berthing, Docking Date and Time	Cross-check Port Log and AIS
Unloading	Shipping Line, Terminal, Warehouse	Date and Time of Unloading for Each Cargo Batch	Obtain Discharge Report and Equipment Interchange Receipt (EIR)
15-Day Rule	Insurer, Shipping Line	Calculate Period from 12:00 pm on Arrival Day	Confirm whichever is earlier, 15-day expiry or unloading
Departure Without Unloading	Shipping Line, Insurer	Notification, Additional Premium, Departure Date and Time	Confirm coverage restart conditions in writing
Intermediate Port / Refuge Port	Shipping Line, Terminal, Warehouse, Insurer	Arrival, Unloading, Cargo Location, Planned Reloading	Consult on extensions or other measures before 15 days elapse
Air Transport Connection	Airline, Insurer, Cargo Owner	Applicability of Article 5.2, AWB, Loading Time, Clause Version	Check for separate contract if independent air transport
Termination of the Contract of Carriage	Shipping Line, NVOCC, Cargo Owner, Insurer	Official Termination, Termination Port, Cargo Location	Recalculate period assuming deemed final port
Reloading for Onward Shipment After Termination	Insurer, Shipping Line, NVOCC	Notification Before Restart, Additional Premium, Loading Time	Obtain insurer’s response before loading
Mine / Derelict Torpedo Risks	Shipping Line, Insurer, Maritime Authorities	Type of Weapon, Craft Transport, Unloading Date, Incident Date	Individually confirm 60-day limit of Article 5.4
Route Change and Carrier Discretion	Shipping Line, NVOCC, Insurer	B/L Terms, Route Change, Notification, Additional Premium	Confirm conditions of Article 5.5
Change of Destination by Insured	Cargo Owner, Insurer, NVOCC	Date of Change Decision, Notification Date, Rate, Conditions	Advance agreement before implementation
Unknown Voyage Changes	Shipping Line, Cargo Owner, Insurer	Point of Insured’s Awareness, Original Plan, Actual Destination	Notify insurer immediately upon recognition
Conflict Check under Article 7	Insurer, Insurance Agent, Experts as Needed	Conflicts Among Article 3.7, Article 3.8, Article 5, and Other Terms	Confirm scope of individual endorsement amendments

Documents to Check in Practice

Document Type	Specific Documents	Contents to Confirm	Source	Notes
Insurance Contract	Policy, Certificate, Schedule, Endorsement	Attachment of War Clauses, version, period amendments, special agreements	Policyholder, Insurer	ICC and War Clauses are separated
Ocean-Going Vessel	Master B/L, Voyage Schedule, Vessel Information, Route Map	Inter-port transport and sea navigation	Shipping Line, NVOCC	Avoid judging by vessel type or name alone
Loading	Loading List, Stowage Plan, Terminal Loading Report	Insurance start per cargo portion	Shipping Line, Terminal	Distinguish between planned and actual
Arrival	Port Log, AIS, Statement of Facts, Arrival Report	Anchoring, mooring, berthing and 15-day counting start	Shipping Line, Port	Unify time zones
Discharge	Discharge Report, EIR, Tally Sheet	Insurance end, discharge per cargo portion	Shipping Line, Terminal	May differ by container or cargo unit
Location at Intermediate Ports	Gate Record, Warehouse Inventory Records, Terminal Location Report	Period cargo was present at the port/location	Terminal, Warehouse	Record movement outside the port
Transshipment / Onward Shipment	Booking, Routing Instruction, Loading Confirmation	Purpose of transshipment, onward shipment start, coverage restart	Shipping Line, NVOCC	Distinguish booking date from loading date
Air Transshipment	AWB, Flight Manifest, Airline Loading Records	Loading onto aircraft, applicable transport segments	Airline, Freight Forwarder	Distinguish acceptance time and loading time
Termination of the Contract of Carriage	Termination notice from shipping line/NVOCC, B/L, Cargo pick-up notice	Termination port, end of carriage under the contract	Shipping Line, NVOCC	Distinguish from temporary port calls
Voyage / Destination Change	Change instructions, B/L amendment, Shipping Line notifications	Change initiator, decision time, recognition time	Cargo Owner, Shipping Line, NVOCC	Record time until notification
Insurer Notification	Notification emails, receipt confirmations, condition replies, additional premium notices	Fulfilment of notification obligations, continuation/restart conditions of coverage	Insurer, Insurance Agent	Keep sender/receiver timestamps
Additional Charges	Storage fees, transshipment costs, onward shipment fees, additional freight invoices	Cost items, applicable periods, invoicing party	Shipping Line, NVOCC, Warehouse, etc.	Separate insurance indemnity and contractual burden

Summary

The insurance period under the Institute War Clauses (Cargo), unlike the standard ICC 2009, generally begins when the insured cargo or part of it is loaded onto an ocean-going vessel.

At the final port or place of discharge, coverage ends at the earlier of the time the cargo is unloaded from the ocean-going vessel or 15 days after 12:00 noon on the day the vessel arrives.

An ocean-going vessel refers to a vessel that transports cargo from one port or place to another with its own voyage involving sea navigation. The vessel’s size, nationality, or designation as a “feeder ship” or “barge” alone does not determine this classification.

At intermediate or refuge ports, coverage continues only while the cargo remains at that port or place within 15 days from 12:00 noon on the day of arrival after unloading. After 15 days, coverage resumes when the cargo is actually loaded onto the ocean-going vessel or aircraft for onward shipment.

If transshipment by aircraft corresponds to Item 2, Paragraph 2 of Article 5, the current Institute War Clauses (Air Cargo) are considered part of the insurance contract and apply to the onward air transport.

If the voyage under the contract of carriage is terminated at an intermediate port, that port is treated as the final discharge port. To resume coverage for any subsequent onward shipment, the insurer must be notified before onward shipment begins, and any necessary additional premium confirmed.

Regarding drifting or sunken mines and abandoned torpedoes, coverage is extended during transfers to and from ocean-going vessels by craft; however, unless otherwise agreed, it does not exceed 60 days after unloading from the ocean-going vessel. This 60-day limit is a separate provision from the 60-day clause in the standard ICC.

When the insured party changes the destination, they must promptly notify the insurer and agree on the rating and conditions. If the vessel departs for a different destination unknown to the insured, coverage is deemed to have begun at the initial start of transit, but timely notification after becoming aware of the change is critical.

Article 7 takes precedence over conflicting provisions such as Paragraphs 7 and 8 of Article 3 and Article 5. Continuation of the period under the standard ICC alone does not imply that the War Clauses period also continues likewise.

When NVOCCs or freight forwarders are involved, it is important to organize chronologically the policy and endorsements, Master B/L and House B/L, Port Logs, AIS data, EIRs, loading and unloading records, AWBs, notices of termination, and notification records to the insurer.

Furthermore, the insurance coverage period is a separate matter from who bears additional charges such as costs for discharge at a different port, storage fees, transshipment costs, onward shipment costs, and additional freight. It is important to separately confirm the insurance terms, the contract of carriage, tariffs, and quotation terms.